http://www.rssboard.org/rss-specificationInsight + Resourceswww.bevimporters.orgBill Earlehttp://www.bevimporters.orgSun, 02 Aug 2015 22:21:54 GMTInsight + ResourcesFri, 20 Mar 2015 20:34:21 GMTNABI supports TAPS Gala fundraisinghttp://www.bevimporters.org/nabi-supports-taps-gala-fundraisingFri, 20 Mar 2015 05:00:00 GMTBill EarleBill EarleWith the help of NABI members in-kind product the TAPS organization raised $2.1 M for military survivor families at their Gala. The leadership all military services gathered with over 850 guests at the National Building Museum on March 18, 205 for this event. Check out the evening at this link:

]]>http://www.bevimporters.org/beverage-alcohol-trades-urge-congress-to-support-ttbImport Beer continues Growthhttp://www.bevimporters.org/import-beer-continues-growthFri, 06 Jun 2014 05:00:00 GMTBill EarleBill EarleFriday, June 6, 2014 Impact Databank: Imported Beer Posts Fourth Straight Year Of Growth In U.S. While the ongoing struggles of mainstream brews led the total U.S. beer market to decline 1.5% to 2.7 billion (2.25-gallon) cases last year, the imported beer segment enjoyed its fourth consecutive year of growth in 2013. Imported beer grew 2% to 400 million cases in the U.S. last year—up from 392 million cases in 2012—and continues to work back to its high-water mark of just under 410 million cases, achieved in 2007. Imports now hold a collective 14.8% share of the U.S. beer category, according to the U.S. Beer Market: Impact Databank Review and Forecast.
Mexican beers continue to be the growth engine for the import segment. Top Mexican brand Corona Extra, marketed by Crown Imports, rose 2.4% to 103.1 million cases last year to become the fifth-largest beer brand in the U.S. overall, overtaking Anheuser-Busch InBev’s Natural Light. Corona Extra, which comprises one-quarter of the imported beer market, has stayed on the upswing four years running, and offshoot Corona Light is also in growth, up 1% to 14.3 million cases in 2013. Crown Imports’ other key Mexican brand, Modelo Especial, continued its 20-year run as an Impact “Hot Brand” last year with 18% growth to 50.9 million cases. Since 2010, Modelo Especial has grown by 63% in the U.S. market.
Another Mexican brand, Heineken USA’s Dos Equis Lager, also earned 2013 Hot Brand honors, with 17% growth to 16.2 million cases. Dos Equis Lager now owns the number-five spot among imported beers in the U.S., and has replaced Tecate as Heineken USA’s second-largest brand, behind its namesake Dutch lager. Tecate, which declined 3% to 15.6 million cases last year, depends more on Hispanic drinkers than Dos Equis or Corona, and has suffered from high unemployment within that demographic. Tecate Light, however, continued to prosper in 2013, growing 16% to 2.3 million cases to win a Hot Brand award.
One non-Mexican import that continues to see impressive U.S. growth is Stella Artois, which reached 22.1 million cases on a 12% advance in 2013. The Anheuser-Busch InBev-owned Belgian import has grown 64.7% since 2010. Among other European brews, the Heineken brand declined 1.6 million cases last year to 55.1 million cases, and has lost more than 14 million cases since its peak in 2007. Meanwhile, Diageo’s Guinness was up 1% in the U.S. in 2013 to 14.3 million cases. (Shanken News Daily - June 6, 2014)]]>http://www.bevimporters.org/import-beer-continues-growthImporters and Distributors enjoy a Beer at the CHLI awardshttp://www.bevimporters.org/importers-and-distributors-enjoy-a-beer-at-the-chli-awardsMon, 12 May 2014 05:00:00 GMTBill EarleBill Earlehttp://www.bevimporters.org/importers-and-distributors-enjoy-a-beer-at-the-chli-awardsNABI urges settlement of West Coast port disputehttp://www.bevimporters.org/nabi-urges-settlement-of-west-coast-port-disputeFri, 09 May 2014 05:00:00 GMTBill EarleBill EarleMulti_Industry_ILWU-PMA_Negotiations_Letter_-_Final_050915.pdf]]>http://www.bevimporters.org/nabi-urges-settlement-of-west-coast-port-disputeNew Name for Beer at Constellation Brandshttp://www.bevimporters.org/new-name-for-beer-at-constellation-brandsTue, 04 Mar 2014 06:00:00 GMTBill EarleBill EarleMessage from Jim Ryan – Constellation Brands Beer Division

I am excited to share that today Crown Imports, our Brewery and Beer Operations are officially defined by one name - Constellation Brands Beer Division. Not only does this name change more appropriately reflect our new status as a fully-integrated commercial beer brewer, marketer and supplier and the #3 beer company in the U.S., it also reinforces our now significantly larger role within Constellation Brands − and firmly establishes our beer business as an equal counterpart to the Constellation Brands Wine & Spirits Division. Additionally, the name change reinforces Constellation’s total commitment to equip our beer business with the resources and investments it needs to further accelerate its momentum of sustainable growth.
While our name has changed, all that has made Crown Imports great remains the same, including our proven business model, our partner relationships, our strategy and leadership for beer. The same great team is running sales, marketing, distribution and government affairs in the U.S. − with the added benefit of enhanced investment, resources and commitment from Constellation to fully support our growth plans. Transitioning to the Constellation Brands name enables us to bring out the best in our business, our brands and external affairs so we can continue to drive industry-leading results across our portfolio.

For technical and regulatory reasons, the Crown Imports name will still be used for importing beer in the U.S., and will still appear on our beer labels, packaging, advertising tags, licenses and financial transactions. All other identity branding, including our signage, business cards, letterhead, promotional items, etc. will now switch to the Constellation Brands name.

Thank you for your support and continued partnership as we take this next exciting step forward together to further solidify our leadership in the U.S. beer industry. Please do not hesitate to contact me if you have any questions.

Spirits will buoy shipping in 2014

The global beverage trade will be a key contributor to shipping demand growth over the next five years, according to a new report.
The latest study by International Wine & Spirit Research concluded the global spirit trade would be spurred on by a shift from locally produced drinks to foreign brands in some of the most populous global markets.
Imported spirits are forecast to grow at a compound annual growth rate of 3 percent worldwide until 2018. By contrast, local brand consumption is expected to see growth rates slow to 1.3 percent as demand for traditional spirits in markets such as Russia and Germany declines.
The growth in import demand over the period translates into an extra 67 million cases of spirits to be transported each year by 2018.
Most spirits are shipped as full container loads or as less-than-container-load cargo, with European exports usually moving via hubs in Latvia, the Netherlands and Germany for re-export to final destination, according to a spokesperson for IWSR.
“Whiskey, vodka and rum are set to be the top three largest growth imported spirits categories over the next five years,” she told the JOC.
Imported whiskey volumes are forecast to grow at 3 percent CAGR over the next six years, with an additional 24.9 million nine-liter cases being consumed in export markets by 2018 versus 2012, with most of the increase expected to be shipped from Scotland.
“The leading growth markets for Scotch over the next five years will be Russia, India and Brazil,” she said.”
Vodka is expected to be the second largest growing imported spirit category. Trade is forecast to increase by 15.2 million cases between 2012 and 2018, with the U.S. and Russia the fastest growing importers.
“In the U.S., flavored vodkas will drive future growth,” she said. “2012 saw this segment grow by an impressive 18 percent, which was in line with long-term growth rates.
“The flavored vodka category relies on innovation, new flavors and brand line extensions, and as long as the flow of new launches does not cease, strong future growth is almost certain.”

Mike Campbell for the Journal of Commerce

]]>http://www.bevimporters.org/spirits-shipping-volume-will-support-transport-sector-in-20142014 expectations for Beverage Alcohol Importshttp://www.bevimporters.org/2014-expectations-for-beverage-alcohol-importsMon, 30 Dec 2013 06:00:00 GMTBill EarleBill EarleLate in 2013 I was interviewed by Emily Pennington of Wine and Spirits Daily. We discussed the import arena and how 2014 might bring changes to beverage alcohol import businesses. Here is her report

Bill Earle

December, 2013

NABI'S Bill Earle Discusses Hot Importer Topics

There are an estimated 1,200-1,500 operational alcoholic beverage importers in the US, many of whom are represented by the National Association of Beverage Importers (NABI). NABI is run by president Bill Earle, a veteran of the Bureau of Alcohol, Tobacco and Firearms (ATF), where he served as assistant director and chief financial officer for seven years. In the fourth part of our trade organization series, WSD sat down with Bill to discuss the issues most relevant to beverage importers going into 2014.

THE FUTURE OF ALCOHOL REGULATION: Like many of the trade organizations we interviewed, NABI was affected by the government shutdown. Whereas many of the other trade representatives talked about the short-term effects of the shutdown, Bill is focusing on the long term implications. "The government shutdown just pointed out to me, and I think the people in our industry, that we're dealing with a shrinking government no matter what," he says. "If these guys aren't here or aren't doing what we are expecting them to do as partners, how are we going to be successful?"

He believes since alcohol is such a huge contributor to the federal treasury that the government will continue to put resources toward the TTB. "But we are worried that in the environment in which we operate, where we need the government to be responsive, they may not be able to be responsive and that includes approving labels, processing formulas and putting out certifications for us, whether its imports or exports."

He wonders if the regulatory structure might have to change in the future. Perhaps there will need to be more public-private partnerships. Bill believes the private sector actually has more expertise in government relations right now than the government sector does because these companies hire talented and well-versed employees to track regulation constantly.

"Maybe we need to explore the option of taking advantage of that. How do we work together with government to give them the reassurance that everything is being done legally and according to the requirements of the laws and regulations? It may not be a federal employee who is doing that. Maybe it is somebody who's doing it in the private sector but occasionally is audited by the federal government or double-checked. I think there is room to explore that."

PROMINENT BARRIERS TO MARKET: Some of the issues that will get the most attention from NABI going forward are ones that disadvantage importers. For example, he noted that Congress has approved a small producer tax exemption for beer and wine, but small foreign producers are not allowed that same break. "The cost of goods is disparate and we view that as a non-tariff trade barrier, so we'd like to see that dropped."

Bill also pointed to a "phenomenon" in US Customs and Border Protection laws that eases the cost of goods on domestic wineries, but not foreign wineries. Essentially, US Customs provides a credit for every gallon a winery exports, allowing them to import 99% of one gallon of wine free of excise tax. For the non-mathematicians out there, they only pay 1% excise tax on wine imports. The program is primarily used for bulk wine.

"The idea that customs had when they applied what they call substitution drawbacks is if that wine produced domestically is not being consumed, you shouldn't have a tax on it," he says. "But what they didn't calculate was that this product never was taxed in the first place. When it is made for export, it is made in bond and it never paid the excise tax. You have some huge companies who are reaping the benefits of what I would categorize as a mistake by Customs."

"My wine importers who are importing bulk... are competing against the domestic wine makers with the lower cost of goods compared to their cost of goods."

NY "AT REST" LEGISLATION: You may recall New York legislators have more than once looked into the idea of requiring all distributors to warehouse wine in New York at least one day before being sold in the state (see WSD 04-08-2013). Bill says he thinks the discussion over this at-rest legislation h as cooled a bit. He added that New York State Liquor Authority chairman Dennis Rosen said the legislature would probably be considering it in the future, but they would not want to do any harm to the small producers in the state. "I think the reason you may not be hearing much about it is people are counting to ten and taking a deep breath before they go into this whole thing."

"It just so happens that right on the border with New York State you've got a warehouse: the Western Transfer in North Bergen, New Jersey, which is the source of a lot of product that is coming into New York state. If there was a required at-rest rule in New York state, I think a lot of that business would stop. I don't think it would necessarily be generated in an at-rest environment by wholesalers in New York state. They might just lose that business."

RUM COVER-OVER: Bill is particularly tuned in to the Rum cover-over saga because it was part of his job at the ATF and many of NABI's members are rum importers from Caribbean Islands outside of Puerto Rico and the US Virgin Islands. Last year the legislature renewed the subsidy for the next two years, so there likely won't be much legislation on the issue this year (see WSD 01-03-2013).

You may also recall the Caribbean Community leaders (CARICOM) has threatened multiple times to go to the World Trade Organization (WTO) to settle the matter (see WSD 08-21-2012 ). "I don't really see a case that WTO would take up vis-a-vis the Virgin Islands-Puerto Rico split. I think that is entirely a US piece of business. I think for the rest of the Caribbean, I think you have an issue there."

FURTHERING TRADE RELATIONS: To further trade relations NABI is also focusing on two big trade agreements underway right now: the Transatlantic Trade and investment Partnership with EU and the Transpacific Partnership with all of the Asian Pacific Rim countries, save China."Obviously, the goal here is to open up the toll gates at the borders so that an equal amount of US product goes out and a partner nation product comes in."

]]>http://www.bevimporters.org/2014-expectations-for-beverage-alcohol-importsNovember 8th Federal Register noticehttp://www.bevimporters.org/fda-says-trans-fats-are-not-gras-for-foodsThu, 07 Nov 2013 06:00:00 GMTBill EarleBill EarleFDA Opens 60-day Comment Period on Measure to Further Reduce Trans Fat in Processed Foods
November 7, 2013
The U.S. Food and Drug Administration has made a preliminary determination that partially hydrogenated oils (PHOs), the primary dietary source of artificial trans fat in processed foods, are not “generally recognized as safe” (GRAS) for use in food.A final decision would mean that the use of these oils in the food supply would be phased out over a number of years. Removal of PHOs from the food supply could prevent up to 7,000 deaths from heart disease each year.
FDA has required industry to declare the amount of trans fat in food on the Nutrition Facts label since 2006. FDA data indicate that many processed foods have been reformulated to reduce the amount of trans fat since the requirement was instituted, but a substantial number of products still contain PHOs.
If, after reviewing comments received, FDA determines that PHOs are not GRAS, PHOs could not be used in foods unless authorized by a regulation. One of our core regulatory functions is ensuring that food, including all substances added to food, is safe.
As discussed in more detail in the Federal Register notice, during the 60-day public comment period, FDA is seeking data and information on a number of issues, including:
Whether FDA should finalize its tentative determination that PHOs are no longer GRAS; and How long it would take producers to reformulate food products to eliminate PHOs. The comment and submissionperiod starts November 8, 2013.
Submit comments electronically to the FDA docket on http://www.regulations.gov, use docket numberFDA-2013-N-1317.
To submit comments by mail, send to FDA at:
Division of Dockets Management (HFA-305)
Food and Drug Administration
5630 Fishers Lane, Rm. 1061
Rockville, MD 20852
All submissions must include the agency name and docket number.
]]>http://www.bevimporters.org/fda-says-trans-fats-are-not-gras-for-foods2014 CBP Trade Symposium Dateshttp://www.bevimporters.org/cbp-east-coast-trade-symposium-2014-datesWed, 06 Nov 2013 06:00:00 GMTBill EarleBill EarleCBP_East_Coast_Trade_save_the_date.pdf]]>http://www.bevimporters.org/cbp-east-coast-trade-symposium-2014-datesCBP Simplified Entry test renamed and expandedhttp://www.bevimporters.org/cbp-simplified-entry-test-renamed-and-expandedMon, 04 Nov 2013 06:00:00 GMTBill EarleBill EarleThis document announces CBP’s plan to both rename and modify the National Customs Automation Program (NCAP) test concerning the Simplified Entry functionality in the Automated Commercial Environment (ACE). Originally, the test was known as the Simplified Entry Test because the test simplified the entry process by reducing the number of data elements required to obtain release for cargo transported by air. The test will now be known as the ACE Cargo Release Test as one of the modifications of the test announced in this notice is to provide more capabilities to test participants allowing CBP to deliver enhanced functionality. The test is also modified by expanding its coverage and by removing the Customs-Trade Partnership Against Terrorism (C-TPAT) status requirement for importer self-filers and customs brokers and by adding new data elements. This notice invites more participants to join the test.

]]>http://www.bevimporters.org/cbp-simplified-entry-test-renamed-and-expandedSystems problems at CBP resolvedhttp://www.bevimporters.org/systems-problems-at-cbp-resolvedTue, 22 Oct 2013 05:00:00 GMTBill EarleBill EarleDear Stakeholder Association / Organizations,
Our Cargo Systems Messaging Service (CSMS) is back on line. The following message was just posted reporting that “All issues are now resolved and systems are working as expected.”

]]>http://www.bevimporters.org/systems-problems-at-cbp-resolvedCBP defers East coast Trade Symposiumhttp://www.bevimporters.org/cbp-defers-east-coast-trade-symposiumWed, 16 Oct 2013 05:00:00 GMTBill EarleBill EarleCustoms and Border Protection officials announced that their East Coast Trade Symposium scheduled for October 24-25, 2013 has been postponed. The federal government closing has denied CBP the staffing to properly prepare and execute the symposium. CBP issued this statement:

It is with deep regret that we inform you of the need to postpone the much-anticipated East Coast Trade Symposium, previously scheduled for October 24-25, 2013, in Washington, D.C.

The protracted lapse in appropriations has significantly impacted our ability to prepare for and commit the resources necessary to hold the event as planned. Although we were hopeful that the appropriations issues would be resolved by now, and we would be able to proceed as planned, this is no longer possible. We are committed to hosting the event at a later date, and look forward to announcing the new dates for this event as soon as possible.

For the registrants who have completed and paid for their symposium registration, we will be refunding your registration fee. The refunds will be processed once the partial government shutdown is concluded.

We sincerely apologize for the inconvenience that this postponement has caused you. We look forward to your participation once this event is rescheduled.

]]>http://www.bevimporters.org/cbp-defers-east-coast-trade-symposiumUnder age drinking continues to drophttp://www.samhsa.gov/data/NSDUH/2012SummNatFindDetTables/NationalFindings/NSDUHresults2012.htm#ch3.1Mon, 09 Sep 2013 05:00:00 GMTBill EarleBill EarleThe Department of Health and Human Services, Substance Abuse and Mental Health Services Administration report shows a continuing drop in use of alcohol by under legal drinking age population. This is good news for the continuing efforts of the beverage alcohol community to deny alcohol to under age consumers. This accompanying chart from the SAMHSA report provides new evidence that the efforts of many are working to curb under age access and drinking.

This summer the FDA issued a final rule for labeling food as gluten free. The finding established a voluntary food labeling standard for foods containing less than 20 part per million of the gluten antigen. The FDA position however does not apply to beverage alcohol products. For beer, wine and spirits FDA defers to the Alcohol, Tobacco Tax and Trade Administration....TTB.

Let's look at the FDA action a bit closer......the rule excludes alcohol products whose labeling is regulated by the TTB (distilled spirits, sake and wines that contain 7% or more alcohol by volume, and malt beverages that are made with both malted barley and hops). FDA notes in the final rule a commitment to work with TTB to harmonize labeling issues.
§ Conversations with TTB management indicate that TTB will not be following the FDA guideline at this time. They pointed out that the FDA ruling gave voluntary authority to label and that FDA does not require prior approval. The prior approval requirement for beverage alcohol places a higher standard on TTB. When issuing an approval for a label TTB is asserting that none of the information on the label is false or misleading. The inclusion of the term "Gluten Free" implies that there is a reliable test to make that statement. The current test for the presence of the gluten antigens remains in question.
§ TTB is likely to state that they are holding with their 2012 ruling on gluten free (http://www.ttb.gov/rulings/2012-2.pdf ) due to the fact that there has been no change in the validity of the test available to make a reliable determination of the gluten content.
§ TTB may in light of the FDA final rule evaluate label statements that educate consumers on the level of gluten in a product consistent with their position on false or misleading claims in general and health claims specifically.

]]>http://www.bevimporters.org/gluten-free-not-so-fast-for-alcoholFDA Biennial Registration starts October 22, 2012http://www.bevimporters.org/delayed-fda-biennial-registration-starts-october-1-2012Thu, 27 Sep 2012 05:00:00 GMTBill EarleBill EarleThe Food and Drug Administration activated the food facility registration renewal process on October 22, 2012. Currently the FDA site is experiencing service issues and may tell registrants to access at a later time. Users will need to be patient but persistent. When the site is accessed users should progress to a second screen to check the renewal without update option if there are no changes to the registration. A Biennial renewal process was mandated by the Food Safety and Modernization Act. Existing registrants will need to visit the FDA registration site at:

https://www.access.fda.gov/oaa/logonFlow.htm?execution=e2s1

For businesses who created a new registration after October 1, 2012, that registration also complies with the requirement to have updated information in the FDA system during the last calendar quarter of each even numbered year.

Due to the delays experienced by members accessing the site we will be asking FDA to extend the window for renewals into the first quarter of 2013.

]]>http://www.bevimporters.org/delayed-fda-biennial-registration-starts-october-1-2012TTB Extends Pre-Import/Statement of Process ApprovalsThu, 27 Sep 2012 05:00:00 GMTBill EarleBill EarleIn response to the NABI request for removal of the expiration date from pre-import letters and/or Statement of Process (SOP), the Alcohol and Tobacco Tax and Trade Bureau (TTB) has notified NABI that although TTB will not remove an expiration date they will double the expiration date to ten (10) years for any lab analysis or formula processed (online or paper) after October 1, 2012. Currently the expiration date for those documents are five (5) years from date of issuance by the TTB.

In addition, current pre-import letters and/or SOP that have not yet expired can be extended upon written request by the original applicant for an additional ten (10) years from the date of resubmission.

Importers can use TTB’s Formulas Online or a paper submission to request an extension for an existing pre-import letter or SOP. Importers may chose to wait closer to the expiration date of an existing letter before resubmitting your request, thereby getting full advantage of the new ten (10) year validity period. If submitting online or a paper submission, a copy of the existing pre-import letter or SOP must be attached to your request.

Please note that if there have been changes to your formulations, you must file for a new pre-import letter or SOP

]]>NABI Hosts South African Officialshttp://www.bevimporters.org/nabi-host-south-african-officialsWed, 25 Jan 2012 06:00:00 GMTBill EarleBill EarleNABI hosted a luncheon meeting and discussion with officials of the South government, embassy representatives and officials from TTB at the National Press Club. In addition to covering tax and enforcement protocols for beverage alcohol, the group discussed the routes to market for South African wine and other products. After visiting the TTB laboratory the delegation will travel to New York. In Albany the South Africans will meet with Chairman Dennis Rosen of the New York Liquor control board. Wednesday January 25, 2012]]>http://www.bevimporters.org/nabi-host-south-african-officialsNABI provides TTB with COLA & Formula Streamlining ideashttp://www.bevimporters.org/nabi-provides-ttb-with-cola-formula-streamlining-ideasThu, 25 Aug 2011 05:00:00 GMTBill EarleBill EarleOn Monday August 22 fifteen NABI member representatives met with TTB officials to discuss ideas for creating efficiencies in the COLA and Formula review processes. The TTB meeting resulted from an invitation to NABI from TTB Administrator John Manfreda. Manfreda is looking for opportunities to better use his resources during a time of serious budget challenges. NABI staff organized meetings of member compliance professionals to distill a list of suggestions that would not only expedite the review process but would also free up government resources to pursue more pressing mission objectives.

The meeting on Monday the 22nd was the culmination of this process. It provided a forum for TTB staff to hear directly from the import business community. Some of the ideas suggested to the government were ways to limit or end review of business to business brand transitions where the only change is the name of the new importer. These business moves are common but government requirements add extensive delays and significant costs to the activity. TTB promised to review and act on the NABI suggestions quickly. ]]>http://www.bevimporters.org/nabi-provides-ttb-with-cola-formula-streamlining-ideasNABI members Host Retailershttp://www.bevimporters.org/nabi-members-host-retailersWed, 10 Aug 2011 05:00:00 GMTBill EarleBill Earle

NABI's Beer Committee hosted the Opening Night Reception at the American Beverage Licensee annual Convention in Milwaukee, Wisconsin. The reception was held at the Public Museum in Milwaukee and attended by almost 200 ABL convention goers. ]]>http://www.bevimporters.org/nabi-members-host-retailersTTB Executives Meet with NABI Executive Committeehttp://www.bevimporters.org/ttb-executives-meet-with-nabi-executive-committeeTue, 26 Jul 2011 05:00:00 GMTBill EarleBill EarleJohn Manfreda, TTB administrator was joined by his deputy Mary Ryan for a discussion with NABI Executive Committee members. Joining John were Robert Angelo, Susan Stewart Evans and Gail Daivs representing field operations, industry relations and international trade respectively. Administrator Manfreda was extremely candid concerning the significant resource pressures facing TTB. He extended an invitation to NABI to provide recommendations on how TTB could streamline operations while assuring the integrity of the tax and regulatory systems. Following up on this opportunity NABI Board Chairman Michael O'Brien established a working group of member compliance staffs to make specific recommendations to TTB. This group will meet by conference call on August 10th to focus on changes to the COLA system and process. On August 22 members of the group will come to Washington to finalize there suggestions and present them to TTB at their offices.

A second panel of Customs and Border Protection officials met with NABI members following the TTB presentation. Leading the CBP group, Maira Louisa O'Connell Trade Advisor to the Commissioner of CBP, invited recommendations on better harmonizing the work of CBP with other regulatory agencies. She was very open to industry suggestions about ways to improve the interaction between the government and trade organizations. NABI will be organizing its Customs Committee to make recommendations to Ms. O'Connell on ways to improve the cargo clearance process. NABI members are encouraged to send ideas that will facilitate imports through the CBP organization.

]]>http://www.bevimporters.org/ttb-executives-meet-with-nabi-executive-committeeApril & May 2011 Import Statistics Avialablehttp://www.bevimporters.org/april-import-statistics-avialableTue, 12 Jul 2011 05:00:00 GMTBill EarleBill Earlehttp://www.bevimporters.org/april-import-statistics-avialableNew TTB "Walk-in" schedulehttp://www.bevimporters.org/new-ttb-walkin-schedule1Thu, 09 Jun 2011 05:00:00 GMTBill EarleBill EarleTTB has announced that service hours in the TTB Public Room will change. Starting June 20, 2011 Monday - Friday access by industry member will be 1:30 to 2:30 PM. Appointments can be made for other than "walk-in" business from 10:00 to 11:30 AM and ]]>http://www.bevimporters.org/new-ttb-walkin-schedule12011 1st Quarter Beverage Alcohol Statistics Availablehttp://www.bevimporters.org/2011-1st-quarter-beverage-alcohol-statistics-availableWed, 25 May 2011 05:00:00 GMTBill EarleBill EarleStatistics for 2011 first quarter arrivals of beverage alcohol are now available for members.

Fred Cooper wore custom-made suits from the same tailoring house that outfitted real estate magnate Arthur Rubloff, former New York mayor John Lindsay and composer Stephen Sondheim. His ties were from London’s Turnbull & Asser. He ate out every night at Chicago’s finest restaurants.
But he wasn’t making the scene to be seen.
In a sense, it was his job.
Mr. Cooper was vice chair of the liquor distributor Wirtz Beverage Group of Illinois. He was the man in the middle of a complex network of business relationships between restaurants, retail stores, winemakers and distillers. He made sure it all worked, said his boss W. Rockwell “Rocky” Wirtz.
“He was going out there as a goodwill ambassador,” said Wirtz, a Chicago Sun-Times investor and chairman of the Chicago Blackhawks.
Mr. Cooper’s death was mentioned during the Sunday evening telecast of the Blackhawks playoff game. He died Saturday at age 74 at Northwestern Memorial Hospital of complications from amyloidosis, abnormal protein build-ups in the body.
He was tireless and tenacious at his job. He watched the wine lists at area eateries to see if Wirtz Beverage Group was their distributor. If it wasn’t, he’d ask restaurateurs what his company needed to do to get their business. And if a client ran out of liquor, Mr. Cooper would handle it personally. He built unshakeable customer loyalty on his attention to detail.
Mr. Cooper would often drop by Lino’s, a now-shuttered Phil Stefani dining establishment. If Lino’s was out of the wine supplied by the Wirtz group, “He would call his salesman,” Stefani said. “The next day we would have it back.”
Often, Mr. Cooper would put the cases in his car and make the deliveries personally.
He visited vineyards and distillers, introducing himself to the artisans who crafted the wines and spirits. He convinced them to provide their products to his company, and then saw to it that Wirtz was also the choice of area restaurants and retailers for keeping their wine cellars and store shelves filled.
“Fred was very persistent. He didn’t understand the terminology ‘no,’ ” Stefani said.
He often spirited copies of wine lists out of restaurants so he could study them and figure out who was doing business with whom. “If there was a change to any wine list at any restaurant that did not favor his company, he was the first to know about it, and the first to do something about it,” said Michael Binstein, owner of Binny’s Beverage Depot.
He was born into the business. “His parents started selling wine or whiskey the day Prohibition was repealed,” said Bart O’Toole, his life partner of 28 years. The Coopers started Continental Distributing Company, which was acquired in 1996 by the Wirtz family distributorship.
Mr. Cooper grew up in Rogers Park. He was educated at Culver Military Academy and Carleton College in Minnesota before he joined the family business in 1959.
“There wasn’t a leader of a liquor or wine company that he didn’t know, or hadn’t done business with,” said Michael Binstein. “Sometimes he knew two and tree generations of people on the retail end of this business, or the retail suppliers’ side.”
He was instrumental in the success of Chicago Gourmet, Millennium Park’s upscale food fest, said John Colletti, managing partner of Gibsons Restaurant Group. The Illinois Restaurant Association wanted to create a celebration of Chicago food and wine, and “Freddie was the go-to guy,” Colletti said. “When I was inquiring about wineries and where to go, he set me up with a list in Napa — he set up a list of who to go to, and say hello to.”
Mr. Cooper “liked Italian wines, Amarones, Malbecs, Shiraz, Pinots, “whatever they were selling,” said Bart O’Toole, “because when you’re selling wine, you’ve got to be politic to your producers.”
Ironically, health problems meant he had to watch what he ate when he visited some of Chicago’s most exquisite restaurants. He usually dined on grilled chicken breast, a slice of raw white onion, a plain vegetable and a salad with lemons.
Mr. Cooper liked to buy his clothing in New York. He and O’Toole took memorable cruises on Cunard, “back when the Sea Goddess was the Sea Goddess,” his partner said. The ship was outfitted like a posh private yacht. On one trip to Vietnam, they dodged pirates and 18- foot swells.
He started shaving his head about a decade ago when he began to lose his hair, O’Toole said. “He was comfortable with himself,” including his sexual orientation, O’Toole said. “I was at all the suppliers’ daughters’ and sons’ weddings.”
He also wasn’t afraid to tell someone if he felt they weren’t doing their job. “He was blunt,” O’Toole said, “but he wasn’t rude, and he didn’t have a mean bone in his body.”Mr. Cooper was also a director of the Wine & Spirit Wholesalers of America; the National Association of Beverage Importers, and the Chicago chapter of the World Association of the Alcohol Beverage Industries.

The Alcohol and Tobacco Tax and Trade Bureau (TTB) announced the receipt of certification from the government of Italy for the 2006 Vintage of Brunello di Montalcino (DOCG). A TTB press release can be found at this link: http://www.ttb.gov/press/vintage-brunello-certification.pdf

New EU wine rules will impact Exports

New York City January 25, 2011 - wine industry experts joined with regulators to discuss Common Market Organization rules that are meant to give new flexibilities to EU wine producing counties and their wine makers. The rules will address over production and support spending in a more comprehensive way. While protecting regional food and wine products the regime will allow supplier nations to create a new category of varietal wines. The intent of the new design is to apply broad terms such as PDO - Protected Designation of Origin and PGI - Protected Geographic Indication to production from the regions. These terms will work in parallel with national regimes that are meant to distinguish the wine and food unique to certain regions. Also created as part of this initiative is a category of wines without origin. In addition to the categories of red, while and rose there is added a new varietal group. Formerly referred to a "table wines" the following varietal names can be used:

Cabernet

Cabernet Franc

Cabernet Sauvignon

Merlot

Syrah

Chardonnay

Sauvignon

The EU plan is to label these wines with a national appellation principally for export. Unfortunately this will present difficulties for this type of wine headed to the US market. Federal labeling regulations require that any varietal designation on a label must also have an appellation below the national level. Wine talks between the US and EU planned for March 2011 in Brussels will no doubt have this on the agenda.

]]>http://www.bevimporters.org/new-eucmo-wine-label-rulesPLCB Delays LTMF charge but extends supplier paymentshttp://www.bevimporters.org/plcb-delays-ltmf-charge-but-extends-supplier-paymentsWed, 15 Dec 2010 06:00:00 GMTBill EarleBill EarleThe Pennsylvania Liquor Control Board announced this week that they were extending payments to suppliers from 30 days to 60 days. This follows the announcement in November that the PLCB would be delaying increases in the logistics, transportation and merchandising fee until July 1, 2011. On December 13 the PLCB gave notice that they would be extending the cycle for payment for good to suppliers from the current 30 days to 60 days. The text of the PLCB email is as follows:

Recently, the PLCB Board approved a 6-month moratorium on a pending increase to the Logistics, Transportation and Merchandising Fee (LTMF) and any proposed price increases by the makers of wine and spirit products sold in Pennsylvania Wine and Spirit Stores. In lieu of the LTMF increase, the Board extended supplier payment terms to a 60-day payment schedule.

During the week of December 13th, all liquor suppliers will be converted to 60-day payment terms. When the conversion is complete, all purchase orders will indicate the 60-day terms. In addition, invoices in process that have not yet met match criteria between Pos, invoices, and receipts will be converted to 60-day payment terms. If an invoice cannot be seen in the iSupplier Portal on December 13th, it is most likely that the invoice is in a 60-day status.

FDA’s Emergency Telephone Number Has Been Changed
December 8, 2010
Office of Emergency Operations has moved to FDA’s White Oak Campus

As of December 10, 2010, the former FDA 24-hour emergency number, 301-443-1240, will be disconnected. The new numbers for the Office of Emergency Operations will be 1-866-300-4374 or 301-796-8240.

These numbers can be used to report the following types of problems to FDA:
A serious, life-threatening event involving an FDA-regulated product, i.e., foods, dietary supplements, cosmetics, human drugs animal drugs, medical devices, biological products, and radiation-emitting electronic products Requests from medical professionals for approval for the use of an emergency investigational new drug, device or biologic. Notifications to FDA from government agents acting in an official capacity about an urgent matter. Reports of an emergency involving an FDA employee or an FDA employee's family member. Reports of a non-life threatening adverse reaction to an FDA-regulated product that requires immediate reporting.

New House Majority Whip, Eric Cantor, published the calendar for the 112th Congress this week. We have included Representative Cantors letter to House members. The calendar can be found by clicking the highlighted link.

December 8, 2010

Dear Colleague:

I am pleased to release the 2011 congressional calendar for the U.S. House of Representatives. The calendar can be accessed today at RepublicanWhip.house.gov and starting January 5, 2011, at MajorityLeader.gov.

This year’s calendar is the result of substantial input gained by the Republican Transition Team from members of both the House Republican Conference and the House Democratic Caucus, and from many outside reformers. In total, it contains 123 days and 32 weeks of session. While the number of days in session is consistent with first sessions in years past, the number of weeks in session represents an eleven percent drop, resulting in less travel for Members and potential savings to the Member’s Representational Allowance (MRA).

Most importantly, the 2011 calendar was drafted with the following goals in mind:

Create Certainty for Members, families, staff, and the public;Increase Efficiency and Productivity in the legislative process;Protect Committee Time and conduct meaningful oversight; andListen to Constituents and reflect the American people’s will.
Above all else, the House calendar will enable Members to focus on the country’s most pressing concerns: the economy and jobs, reducing spending and limiting the size of government, and making Congress more transparent and accountable.

Create Certainty

Over the past decade, the House’s schedule has fluctuated on a week-to-week basis. Rarely do Members know when last votes will be scheduled for the day or week. As a result, meetings are often missed, congressional families are disappointed, and constituent events are left in limbo.

It is my intention to start floor votes no sooner than 1:00 p.m. and to regularly end voting on the floor no later than 7:00 p.m. each evening. When necessary, the House may continue to debate and consider legislation after 7:00 p.m., but votes will not be held past that point. As a result, Members will be able to plan their days with more certainty.

In addition, I intend to begin votes at 6:30 p.m. on the first day of each week and end votes at 3:00 p.m. on the last day of each week. (Votes on the last day may be necessary prior to 1:00 p.m.) All Members will have the ability to return home to their district by Thursday or Friday evening each week, however, the last day of the week will no longer be treated in a perfunctory manner.

Including this year, the House has not adjourned until December for eight straight years. Therefore, the House’s target adjournment has been moved from the end of the fiscal year to Thursday, December 8, in order to better reflect the anticipated workload of the Congress. This will allow Members to plan their fall and early winter schedules now. If we are able to adjourn before December 8, it will be the first time in fourteen years that the House has finished prior to its target adjournment date.

Increase Efficiency and Productivity

From input gained during the transition process, Members unanimously agreed that a Tuesday-through-Thursday schedule can create an inefficient, unproductive, and frenetic legislative body. The risks of such a schedule are bills rushed to the floor; Members voting on legislation without the benefit of time for review; and committees and the deliberative process becoming after-thoughts.

During the 110th Congress, for example, the House considered 2,185 bills on the floor, 70% of which were debated on the suspension calendar. This past year, during the 111th Congress, more than half of all suspension bills named a post office or building, congratulated an individual or team, or supported the designation of a particular day, week, or month. We can do better to reflect the will of the taxpayers who have elected us.

The goal for this Congress is to stress quality over quantity in terms of the flow of legislation to the House floor. I intend to lengthen the time for consideration of bills in order to improve quality and deliver results. Gone are congratulatory resolutions. Post office namings will be handled on a less frequent basis. In addition, legislation will be made available both three days prior to a committee mark-up and three days prior to floor consideration. Taken together, these reforms will allow more time for quality consideration while increasing the House’s efficiency and guaranteeing the public’s right to know.

Lastly, with the exception of January, the House will utilize four- and five-day work weeks. Members and staff should quickly gain an ability to better focus their time with less conflicts.

Protect Committee Time

Since the late 1970s and early 1980s, committee oversight hearings have declined by roughly 500 percent. If we are to reflect the commitment we have made to the voters who elected us, we must reverse this trend.

During the 112th Congress, it is my intention to create protected committee time each morning we are in session. Committee meetings will commence at 9:00 a.m. or 10:00 a.m. On the first day of each week, committees will be able to meet – uninterrupted – prior to 6:30 p.m. or after 7:00 p.m. During the middle two days of each week, committees will be protected from floor votes until 1:00 p.m. and after 7:00 p.m. Every effort will be made on a last day of the week to limit the number of floor votes from interrupting committee action. And we will hold ourselves accountable in conducting meaningful and deliberative work by posting committee attendance and votes online.

Listen to Constituents

American voters sent us a resounding message in November – Washington is out of touch with their concerns and priorities. Through much deliberation during the transition process, Members indicated the need to return home to listen to their constituents on a regular basis.

Accordingly, the schedule will reflect a guaranteed five-day constituent work week at least once each month for Members to visit with employers, employees, seniors, veterans, and other constituent groups Monday through Friday in their district, rather than just on the weekends. This time will be used to listen to constituents, solicit their input, and gain their feedback.

The results of these reforms should be a U.S. House of Representatives that more accurately reflects the Founders’ intent during the 112th Congress – that is, “direct and constant control by the citizens” (Thomas Jefferson, 1816).

I am ready to roll up my sleeves and get down to work with each of you on behalf of the American people. Please do not hesitate to contact me or my office if you have any questions.

Following the FDA action to ban the combination of caffeine and beverage alcohol, TTB has made notice to COLA holders of the targeted beverages that previously approved labels are misleading. The letters to the COLA holders for these beverages and other background from TTB can be found at the following link:

Health care reform legislation signed into law on March 23, 2010 Section 4205 of the Patient Protection and Affordable Care Act of 2010 requires restaurants and similar retail food establishments with 20 or more locations to list calorie content information for standard menu items on restaurant menus and menu boards, including drive-through menu boards. Other nutrient information – total calories, fat, saturated fat, cholesterol, sodium, total carbohydrates, sugars, fiber and total protein – would have to be made available in writing upon request. It also requires vending machine operators who own or operate 20 or more machines to disclose calories for articles in food. The nutrition disclosure requirements apply to foods including alcohol beverages that are standard menu items listed on a menu or menu board, food on display and visible to consumers, or food for self service. The Food and Drug Administration (FDA) was required to issue proposed regulations to carry out these provisions by March 23, 2011. FDA published notice in the “Federal Register” requesting comments on how to implement the menu labeling requirements. Initiative comments were due by September 7, 2010. FDA also publish notice announcing the availability of a draft guidance documents on questions and answers regarding implementation of the menu labeling provisions of Section 4205 and the effect of this provision on state and local menu and vending machine labeling laws.

In the meantime, NABI, DISCUS, Presidents’ Forum, WineAmerica and Wine Institute in a joint comment dated September 7, 2010 asked the FDA to consult with TTB on this matter and in light of TTB’s pending “Serving Facts” rulemaking. The final comment period ends on October 12, 2010. NABI will be formulating comments to the FDA notice. We have been coordinating with other supplier groups on this issue, including staff from the National Restaurant Association. NRA members are the business primarily impacted by these rules.

In 2007, the TTB published a notice of proposed rulemaking soliciting comments on a proposal to require a serving facts statement on alcohol beverage labels to include information about the serving size, the number of servings per container, and per-serving information on calories and grams of carbohydrates, fat, and protein. The proposed rule would also require information about alcohol content. TTB received and reviewed approximately 800 comments on this proposal. To date however the proposed rulemaking is still pending.

It is our understanding that industry members may voluntarily include truthful and specific statements about calorie and carbohydrate content in the labeling and advertising of wine, distilled spirits, and malt beverages as long as the label also contains a statement of average analysis. See TTB Ruling 2004-1 http://www.ttb.gov/rulings/2004-1.pdf. False or misleading claims or representations about calorie or carbohydrate content in the labeling and advertising of alcohol beverages, including those that imply that the consumption of low carbohydrate alcohol beverages is a healthy part of a weight reduction or weight maintenance plan, are prohibited.

You can also read more about the Health Care Reform bills requirements for menu labeling on the government website. A September 2010 article from FDA officials discusses the menu labeling requirements.

The US Senate may include consideration of a Food Safety Bill in its current short session agenda this month. The Senate is expected to adjourn on October 8 but may end their session early on October 1. The recent salmonella outbreak involving eggs would give impetus to passing a food safety bill. A hearing on the recent salmonella event is scheduled for September 14. The House of Representatives has already passed food safety legislation which would have to be reconciled with a Senate bill. The current version of the Food Safety Bill expands jurisdiction for FDA, requires inspections of food manufacturing facilities and imposes an annual $500 fee on food production facilities. The Senate bill has bi-partisan support but several members have amendments that could occupy the time of the Senate and complicate passage. The House bill has language that generally exempts beverage alcohol due to its existing scheme of regulation by TTB, CBP and FDA in the case of imported foods.

]]>http://www.bevimporters.org/senate-food-safetyJune and 2nd Quarter 2010 statistics now availablehttp://www.bevimporters.org/june-2010-and-2nd-quarter-stats-availableThu, 26 Aug 2010 14:18:05 GMTBernadeen EmamaliBernadeen EmamaliJune, 2010 Duty Paid Imports and Arrivals of Alcoholic Beverages for the Second Quarter of 2010, in Excel format, now available on the NABI webpage at www.bevimporters.org. Visit the Members Only Section under Resources or click on the highlighted sections above for the appropriate file.]]>http://www.bevimporters.org/june-2010-and-2nd-quarter-stats-availablePassing of Harry Wiles - ABL Executive Directorhttp://www.bevimporters.org/passing-of-harry-wiles-abl-executive-directorThu, 26 Aug 2010 15:42:21 GMTBill EarleBill EarleWe learned on Wednesday August 18, 2010 that our dear friend and colleague Harry Wiles, Executive Director of American Beverage Licensees, passed away this morning. Our thoughts and prayers are with Harry's wife Cindy and their family. We will pass along additional information as it becomes available. The following release was published on August 19 by ABL staff:

Statement on the Death of ABL Executive Director Harry G. Wiles

Bethesda, MD – August 19, 2010 – American Beverage Licensees announces with profound sadness and regret that Harry G. Wiles passed away unexpectedly on Wednesday, August 18, 2010. Harry was ABL’s Executive Director and a leading member of the beverage alcohol community. He will be remembered as a true advocate for the entire industry and a loyal friend to those whose lives he touched.

Harry served as ABL’s Executive Director since 2002. He was chosen to lead the association and its nearly 20,000 members following its creation after the merger of the National Association of Beverage Retailers and the National Licensed Beverage Association. Under his leadership, ABL grew in scope and strength as he oversaw the partnering of on-premise and off-premise beverage licensees into a single, unified voice for the beverage retail community.

“Not only has our industry lost a leading advocate, we all have lost a dear friend,” said ABL President David Jabour. “Harry was the consummate industry ambassador and steward, and will be remembered for years to come. He was truly part of our industry family.”

An attorney and member of the Bar in the State of Kansas, the District of Columbia, and the United States Supreme Court, Harry followed his political instincts from Kansas to Washington, D.C. in 1976, where he worked on Capitol Hill before becoming a fixture in the beverage alcohol community.

Harry’s more than two decades of service to the industry began in 1987 when he became Senior Vice President of Federal Government Relations & Senior Counsel for the Wine & Spirits Wholesalers of America, a position he held for thirteen years.

In 2010, Harry was inducted into the Sky Ranch Hall of Fame, and served on the Executive Committee of the Sky Ranch Foundation. He also served as a board member of the Responsible Hospitality Institute (RHI), the Responsible Retailing Forum (RRF) and the Night Club & Bar Advisory Board.

An avid supporter of the western lifestyle and horseback riding, Harry was a member of western riding organizations Rancheros Visitadores, based in Santa Barbara, CA, and El Viaje De Portola in San Juan Capistrano, CA. He was also a board member of the Heartland Alliance of America, the association for rural Americans.

Harry is survived by his wife Cindy; his daughter Heather and husband, Troy Valerius; and four grandsons. Please keep them in your thoughts and prayers. Condolences may be sent to Harry’s wife Cindy Wiles at 10890 Woodleaf Lane, Great Falls, VA 22066. A remembrance gathering in honor of Harry will take place at a future date with details to follow.

In lieu of flowers, the family requests that memorial contributions in Harry's memory be sent to “Cowboy Heritage Association of Fort Worth” P.O. Box 136639 , Forth Worth, TX 76136; or “Sky Ranch for Boys” 10100 Sky Ranch Place , Sky Ranch, SD 57724. A celebration of Harry's life will take place at a future date with details to follow.

Harry G. Wiles – Memorial Contributions UPDATE

As part of its facility, Sky Ranch for Boys maintains stables for horseback riding as part of the recreational component of its corrective thinking approach to treatment. Sky Ranch requires all boys to work on the Ranch, including taking care of the horses.

As many of you know, Harry was actively involved and a staunch supporter of both the western horseback riding lifestyle and Sky Ranch for Boys.

With that in mind, President Ralph Aguera and Secretary Barry Becton of the Sky Ranch Foundation have notified ABL that all memorial contributions to Sky Ranch for Boys in memory of Harry G. Wiles will be designated for improving the stables and acquiring new horses and saddles for the Ranch.

A true cowboy at heart, we know that Harry would be moved by this gesture.

Privitization is an issue for importers. If you click on this "issue" highlight you will see an interesting analysis by the trade association for control state administrators, NABCA. On August 5 the Washington Post published a current assessment of the political and budgetary factors that impact on Virginia. Virginia controls spirits sales through over 300 retail stores. Replacing the revenue stream generated by this system, roughly $250M per year, remains one of the fundamental constraints facing the Governor.

In a follow on story the Washington Post provides additional overview of the privatization issues on August 29. The Post reports that the Virginia Governor's plan will be revealed on September 8, 2010. We will add to this blog as this issue evolves.

The Chicago Executive Committee meeting on July 29 included a presentation of current market conditions by Nick Lake from the Nielsen Company. I have included Nick's PowerPoint presentation here as an example of the resources we will be providing in the members only section of the website.

The NABI Executive Committee will be holding its July meeting at the Crown Imports offices in Chicago, IL. Retiring NABI Board member and past officer, Mike Kelly, has been invited to Chicago to join the Executive Committee for their meeting.

Officials from TTB have acknowledged that they will present at this meeting. The new NABI website will be formally launched. Our hosts for this meeting, Jim Ryan and Crown Imports have arranged for a very special Major League Baseball evening at US Cellular Field following our meeting. The Chicago White Sox will be playing the Seattle Mariners. All Executive Committee members are encouraged to attend. Acknowledgements should be sent to Bernie Emamali.

]]>http://www.bevimporters.org/executive-committee-meeting-july-29-chicago-ilTranslated TTB Requirement Informationhttp://www.bevimporters.org/translated-ttb-requirement-informationTue, 27 Jul 2010 05:00:00 GMTBill EarleBill EarleTTB has hosted on their site the French, Spanish and Chinese translations of the requirements information.

Thanks to one of our associate members, Vinitaly, there is NOW an Italian translation of key parts of the TTB website for use by Italian language suppliers.

NABI President, Bill Earle, moderated a workshop at the Italian Embassy in Washington, DC focused on expanding understanding of Italian wine controls and oversight. This meeting brought together representatives of TTB, the US Trade Representative, US Department of Agriculture, Italian Trade Commission, Italian ministry of agriculture, Unione Italiana Vini, Instituto San Michele all’Adige and Italian press. The three hour workshop included presentations by Italian ministry officials and technical laboratory staff, as well as a question and answer session with all attendees. Ambassador Giulio Terzi di Sant'Agata opened the session by thanking NABI and other officials for their presentations and interest in improving the understanding of Italian oversight of wine particularly in the commerce of export to the United States. This meeting was part of the effort to educate US regulators in light of the controls then in place on Brunello.

Introduced on April 15 in the U. S. House of Representatives HR 5034, the Comprehensive Alcohol Regulatory Effectiveness Act of 2010 (CARE act), purports to support state based alcohol regulation by “clarifying” evidentiary rules for alcohol matters. This bill would accomplish this by effectively suspending the protections of the Commerce Clause of the Constitution in situations where state or local alcohol laws are challenged. Currently the bill has 106 co-sponsors. It has yet to be introduced as a Senate version. Generally producers, importers and their trade associations have been uniformly opposed to the legislation. NABI has prepared a position in opposition that has been reviewed by the board of directors and sent to all House of Representative offices.

On June 13 in Louisville, KY members of NABI’s Beer Committee hosted an event opening the American Beverage Licensee’s annual convention. The Frazier International Museum provided the backdrop for a wide selection of imported beers. Attendees were treated to access to a diverse collection of historic American and British weapons and artifacts from medieval Europe thru 19th century North America.

NABI is pleased to send the official circular from the French Minister of Food, Agriculture and Fisheries to the Director of the Institut National de l’Origine et de la Qualite (INAO) providing instructions/procedures for issuance of an INAO declaration for Protected Geographical Indication (PGI) Pinot Noir wines from the Languedoc-Roussillon Region for purposes of export to the United States. The official circular (Circulaire DGPAAT/SDPM/C2010-3057, dated 28 Mai 2010) is signed and dated so therefore in full force and effect.

All procedures are described in the official circular. A copy of the “Application Form for Issuance of a Certificate for the Purpose of Export to the United States of America of PGI Wines from Languedoc-Roussillon Containing Pinot Noir” may be found in Annex 2 and a template of the French government declaration may be found in Annex 3.

The declaration is requires as a result of a mandate (IC 2010-5) from the Alcohol and Tobacco Tax and Trade Bureau (TTB) that importers of bottled, labeled or bulk pinot noir wine from the Languedoc-Roussillon of France must hold a declaration issued by the
French government for purposes of export to the US. (Copy included in the official circular)

On May 3 TTB published Industry Circular 2010-5 imposing new requirements on the release of French pinot noir from Languedoc to the US market. On the heels of fraud investigations in France and the sentencing of those involved in the fraud in Paris, TTB halted the release of stocks of pinot noir from the affected region. Officials of the French fraud agency DGCCRF met with TTB officials on May 7 in Washington. Since that meeting officials in Paris have been deliberating over the process for issuing the release declarations from the government.

The French National Institute for Product Origin and Quality or INAO will be the issuing agency for these declarations. Electronic versions of the declarations will be acceptable by TTB and must be obtained prior to release of any stocks of the affected pinot noir to the retail trade. Entry through Customs is not impacted by this new clearance process. Importers are accountable for having the necessary declarations on file prior to release. TTB has published a series of FAQs initiated by several questions posed by NABI.

TTB has commented that INAO is not likely to be able to certify any of the bulk imported pinot noir that may be currently in storage in the US. The status of this product may be dependent on future negotiations with TTB.

On March 29 TTB issued Industry Circular 2010-3 which canceled the requirement for government declarations on Brunello wine exported to the US. On April 15 TTB signed a memorandum of understanding ( MOU) with the government of Italy. This establishes a more open dialogue between governments on issues affecting the trade in beverage alcohol. TTB’s action lifting the Brunello requirement followed meetings organized by NABI and including members and TTB officials to resolve the Brunello issue and demonstrate the high level of compliance by importers. NABI carried the good news concerning progress on the Brunello issue to its meetings with producers in Verona and Tuscany. At the VinItaly Brunello pavilion NABI President Bill Earle met with the consorzio president and staff director accompanied by Nick Lake, the Neilsen Company.

Mike Kelly, Senior Vice President and General Counsel, Moet Hennessy USA retired July1, 2010 after 24 years of service in the beverage alcohol industry. Mike has been an active and supportive member of the NABI Board and in leadership positions with NABI. In fact this is not “retirement” for Mike but rather transitioning to the firm of Wormser, Kiely, Galef & Jacobs LLP. Mike has been invited to attend our July Executive Committee meeting in Chicago so that many of us can thank him in person for his contributions to NABI. Mike’s new email is: mkelly@wkgj.com.

Harvey Fox, former Director of Regulations and Rulings at US Customs died at Johns Hopkins Hospital following a recently discovered cancer. Harvey was with the firm of Adduci, Mastriani & Schaumberg LLP at the time of his death. Former NABI President, Bob Maxwell, delivered remarks at a memorial service for Fox in Washington, DC. Harvey was a regular contact for the NABI office. His untimely passing will leave a void in our base of reliable go-to Customs expertise.

In 2008, the Alcohol and Tobacco Tax and Trade Bureau (TTB) established two market-based sampling programs, the Alcohol Beverage Sampling Program and the Alcohol Beverage Advertising Program for use in determining on an annual basis the rate of compliance by industry with Federal alcohol beverage laws and regulations concerning advertising, labeling and product content. The results of the FY 2008 (for distilled spirits) and FY 2009 (for malt beverages) programs are now available.

Label Compliance
About 88% of all distilled spirits labels in the marketplace are in compliance with Federal alcohol beverage laws and regulations. The reasons found for non-compliance are: conflicting back and neck labels from what appears on the approved COLA; statement of composition did not match approved COLA; net content statement not blown into bottle as indicated on approved COLA; and legibility issues.

Product Label versus Content Compliance
About 62% of distilled spirits in the marketplace are in compliance with Federal laws and regulations; 95% of sample content violations are the result of being over-proof or under-proof beyond established tolerance levels when compared to the proof statement on the product label; and about a 98% of compliance with Federal laws and regulations for product content matching the labeled description.

The alcohol content statement was the most common reason for contents differing from what was stated on the label. Only two products were found to be under-proof and should have been labeled as “diluted.” TTB found overall that imports were just as likely as domestics to be found compliant in both labeling and lab-tested content; the compliance rate for spirits labels together with the compliance rate for consistency between the content and the label, excluding inaccurate proof statements, is about 87%; and the vast majority of noncompliant samples were due to the content not matching the label description.

Advertising Compliance
The compliance rate for all distilled spirits advertisements with Federal alcohol beverage advertising laws and regulations is about 86%. The top reasons for noncompliance are: missing alcohol statements for the advertised beverage, 45%; and missing responsible advertiser information, 58%. The top reasons for noncompliance of advertisement in each media type are: missing commodity statement (“Distilled from…”) in radio ads; missing class/type statement in Internet ads; missing alcohol statement in both radio and Internet ads; and missing responsible advertiser information in radio, Internet and print ads.

Label Compliance
About 90% of all malt beverage labels in the marketplace are in compliance with Federal alcohol beverage laws and regulations. The reasons found for noncompliance in samples: no approved COLA; and additional labels or information appearing on container, bottle or cap than what appear on the approved COLA.

About 92% of malt beverage products in the marketplace are in compliance with Federal alcohol beverage laws and regulations. The reasons for content noncompliance in samples are: containers were over or under-filled; actual alcohol content was either less or more than stated on the label; and actual calories did not match what was stated on the label.

TTB found overall that there is no significant difference in labeling and content compliance rates for imported and domestic products. The overall marketplace compliance rate for malt beverage labels together with the compliance rate for content is about 85%.

At the Beer Institute’s annual meeting in Milwaukee, Wisconsin Chairman David Peacock, Anheuser-Bush Inbev, introduced the attendees to Navy Captain Joseph McClain as the new President of Beer Institute. Captain McClain is a veteran Navy flyer who currently is assigned as the Navy’s principle representative to the US House of Representatives. Later this Summer Captain McClain will begin his duties leading the Beer Institute organization. Also during the meeting Art DeCelle was recognized for his years of service to BI and presented with the first Jeff Becker leadership award. Joining Art for recognition was Doris Dunn who has been working in beer associations for over 40 years, first at the Brewers Association and currently at BI.

Construction of the new NABI website is underway. Early designs were shown at the Member meeting in March. Further refinements on design and content have been made. It is expected that a launch will be ready for mid-July 2010. A prominent design feature will be a slideshow of product labels from our members. We are interested in which labels members would like us to feature in this animated aspect of the site. We will also be inaugurating a new domain name for the organization that will be easy to remember and focus interest on the association. The domain www.bevimporters.org has been reserved for our new internet location. Our old domain will continue to function post launch until a suitable transition has elapsed. The phase in will allow for member input much like that which we received at the annual meeting.

On April 10 NABI facilitated an open forum discussion with Italian wine producers and others at the VinItaly wine show in Verona, Italy. The panel was made up of NABI Executive Committee Chair, Michael O’Brien, General Counsel Palmbay International, Alex Joerger Wine Director A&P Best Cellars and Nick Lake, Senior VP Beverage Alcohol, the Neilsen Company. Bill Earle moderated the panel. Over more than two hours panelist gave attendees an insight into the Italian wine market in the US. The Neilsen presentation of data on current buying trends in the wine segment was followed by insights from the importer and retail sectors. Officials from the regional and national government also made presentations. This was the first time that VinItaly attendees were given a multi-tier overview of the important American wine market. The PowerPoint slides used at the seminar are attached to the Update. Attendees commented that the timeliness and analysis of the data shared at this event were particularly helpful to the industry as they develop production and marketing strategies over the coming year.

Customs and Border Protection proposed ending the practice of paying claims for substitution drawback in a notice published in the Federal Register on October 15, 2009. Ending this practice would have restored the export drawback system to an open and transparent process. NABI submitted comments supporting the proposed action by the Department of Homeland Security. A joint letter from Senators representing wine importing states strongly opposed any change to the current practice. In the end Treasury and Homeland Security Departments opted to withdraw the proposal on March 2, 2010. The withdrawal stated that further consideration was needed on the proposal. Though political headwinds likely prompted this action, the adverse impact on the Treasury (est. $50M) should support future successful attempts at reform.

Madame Bai Lu, Director of the Chinese Import and Export Food Safety Bureau and her delegation were the guests of NABI at a National Press Club Luncheon on March 19, 2010. We were joined at the luncheon by Art DeCelle, then General Counsel for the Beer Institute. Director Bai Lu organization in China is part of a 300,000 person agency charged with import and export food safety responsibilities including beverage alcohol products.

The luncheon was an excellent low key venue for engaging these Chinese officials and sharing aspects of controls and regulations here in the US. Feedback from TTB officials accompanying the delegation on to California was very positive about the interchange and extended luncheon.

The Annual NABI member meeting was held at the National Press Club’s First Amendment Room on March 10. The Board and officers were pleased with the turn out and the business agenda. The withdrawal of the substitution drawback proposal leaves in place essentially a subsidy for US exporters who also import wine. Representatives of the Washington firm, McDermott, Will and Emery presented an overview of how importers could take advantage of this Customs procedure. Until Treasury and Homeland Security Departments act to suspend the drawback this option is available to all importers. Export credits are transferable and may not be limited to wine. NABI staff can discuss these provisions with members who have an interest in learning more.

Presentations by William Foster, TTB, and Janet Evans, FTC, included updates on current enforcement strategies of each of these agencies important to importers. Foster discussed ongoing investigations of the French pinot noir fraud and gave some indication of the actions that were published in TTB Industry Circular 2010-5 on May 3. Janet Evans briefed members on the FTC’s ongoing review of advertising and media placements. Some NABI members had just completed an FTC review and were able to question Evans about who might be next in line for review.

On Wednesday evening, March 10, 2010 NABI joined with the California State Society and the Wine Institute to support a silent and live auction of wine and spirits products to benefit the Clinton-Bush Fund. The auctions raised $80,000 from participants, which included several members of Congress. NABI arranged for a basket of member products. The diverse NABI basket (in the midst of all that wine) was very popular with the winning bid going to the President of the Wine Institute, Bobby Koch. A unique item was a signed Kenny Chesney guitar provided by Jim Ryan.

The US International Trade Commission (USITC) recently posted to it website the 2010 Harmonized Tariff Schedule of the United States Annotated (HTSA). Click on the link below for a full version or a chapter-by- chapter version (Chapter 22 - Beverages, Spirits and Vinegar) of the HTSA. The HTSA is in effect as of January 1, 2010.